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Given the following information concerning non-instantaneous replenishment (POQ): Mountain Nectar Brewing Company produces an India pale ale which it stores in barrels in its warehouse

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Given the following information concerning non-instantaneous replenishment (POQ): Mountain Nectar Brewing Company produces an India pale ale which it stores in barrels in its warehouse and supplies to distributors on demand. The demand for India pale ale is 1800 barrels per day and the company can produce 3000 barrels per day. It costs $750 to set up a production run of India pale ale. Once brewed, the ale is stored in their refrigerated warehouse at an annual cost of $60 per barrel. Mountain Nectar Brewing Company operates 250 days per year (to calculate annual demand). Which statement below best describes the relationship between daily production and daily demand? Daily production is not enough to keep up with daily demand so we have a daily shortage of India pale ale Daily production exactly equals daily demand so zero (O) units are placed in the warehouse every day (when making India pale ale) Daily production exceeds daily demand such that 1200 units are placed in the warehouse every day when making India pale ale) Given the following information concerning non-instantaneous replenishment (POQ): Mountain Nectar Brewing Company produces an India pale ale which it stores in barrels in its warehouse and supplies to distributors on demand. The demand for India pale ale is 1800 barrels per day and the company can produce 3000 barrels per day. It costs $750 to set up a production run of India pale ale. Once brewed, the ale is stored in their refrigerated warehouse at an annual cost of $60 per barrel. Mountain Nectar Brewing Company operates 250 days per year (to calculate annual demand). Which statement below best describes the relationship between daily production and daily demand? Daily production is not enough to keep up with daily demand so we have a daily shortage of India pale ale Daily production exactly equals daily demand so zero (O) units are placed in the warehouse every day (when making India pale ale) Daily production exceeds daily demand such that 1200 units are placed in the warehouse every day when making India pale ale)

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